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SUSTAINABILITY 2015 GOALS FINAL REPORT

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Page 1: Sustainability 2015 Goals Final Report...25 percent of pharmaceutical industry performance, with rates improving Achieve a high performing workforce as a recognized employer of choice

S U S TA I N A B I L I T Y 2 0 1 5 G O A L S F I N A L R E P O R T

Page 2: Sustainability 2015 Goals Final Report...25 percent of pharmaceutical industry performance, with rates improving Achieve a high performing workforce as a recognized employer of choice

COMMITMENT GOAL BY 2015 WE WILL

To our patients and customers

We commit to scientific excellence and investment in biopharmaceutical research and development to provide innovative, high-quality medicines that address the unmet medical needs of patients with serious diseases. We apply scientific rigor to produce clinical and economic benefit through medi-cines that improve patients’ lives. We strive to make information about our commercialized medicines widely and readily available.

Address focused unmet medical needs to improve health

Develop and commercialize medicines that address serious diseases

Improve health outcomes by partnering to strengthen health care infrastruc-ture, services and education

Increase transparency and access to information on our medicines

Enhance the environmental and safe handling aspects of our medicines throughout their life cycle

Integrate design principles (e.g., green chemistry and safe handling) through-out new product development and commercialization

Reduce packaging waste by 5 percent

To our employees

We embrace a diverse workforce and inclusive culture. The health, safety, professional development, work-life balance and equitable, respectful treatment of our employees are among our highest priorities.

Provide a safe and healthy work environment

Achieve injury and illness rates in top 25 percent of pharmaceutical industry performance, with rates improving

Achieve a high performing workforce as a recognized employer of choice

Build and develop a globally diverse leadership and talent pipeline

To our global communities

We promote conscientious citizenship that improves health and promotes sustainability in our communities.

Increase key supplier sustainability aligned with our Commitment

Expand principles of sustainability and performance indicators at key suppliers

Educate and engage our organization to actively drive progress in environ-mental and social responsibility

Increase employee understanding and commitment to implement sustaina-bility initiatives

To our environment

We encourage the preservation of natural resources and strive to mini-mize the environmental impact of our operations and products.

Improve the environmental footprint of our company

Reduce total energy use and green-house gas emissions by 15 percent

Reduce total water use by 10 percent

To our shareholders

We strive to produce sustained strong performance and shareholder value.

Financial benefits, enhanced reputation and risk reduction

Our MissionTO DISCOVER, DEVELOP AND DELIVER

INNOVATIVE MEDICINES THAT HELP

PATIENTS PREVAIL OVER SERIOUS DISEASES.

Our CommitmentTo our patients and customers, employees, global communities, shareholders, environment and other stakeholders, we promise to act on our belief that the priceless ingredient of every product is the integrity of its maker. We operate with effective govern-ance and high standards of ethical behavior. We seek transparency and dialogue with our stakeholders to improve our understanding of their needs. We take our commitment to eco-nomic, social and environmental sustainability seriously, and extend this expectation to our partners and suppliers.

Sustainability 2015 GoalsOur Sustainability 2015 Goals address a broad spectrum of company responsi-

bilities to our stakeholders, including patients and customers, employees, global

communities, shareholders and the natural environment. These goals focus

attention on areas of great importance to the future success of the company’s

BioPharma strategy and to the health and well-being of our global communities.

OUR COMMITMENT IS TO

PURSUE OUR MISSION WITH

INTEGRITY, TRANSPARENCY

AND SUPPORT FOR ECONOMIC,

SOCIAL AND ENVIRONMENTAL

SUSTAINABILITY.

It is with great pride and excitement that we present our Bristol-Myers Squibb SUSTAINABILITY 2015 GOALS

FINAL REPORT.

Launched in 2010, upon completion of our Sustainability 2010 Goals, our 2015 goals were aligned with our company mission and provided us a platform to take our commitment to eco-nomic growth, social responsibility and a healthy environment to the next level, and to do so with integrity and transparency. The goals guided our work. They fueled our success. They benefited our patients, our employees and the communities in which we live and work.

I am pleased to say that we exceeded many of our goals.

FOR OUR PATIENTS, we continued to focus on discovering and developing transformational medicines to meet significant unmet medical needs. We continued to build our research pipeline, launched new medicines and achieved clinical mile-stones in Immuno-Oncology and across our specialty portfolio.

The Bristol-Myers Squibb Foundation launched two new initia-tives – one to expand access to specialty care for vulnerable populations in the U.S. and one to address the high rates of lung cancer across the southern U.S. states. The Foundation also expanded our SECURE THE FUTURE program to support prevention and care for cervical and breast cancers in women living with HIV in sub-Saharan Africa. And we continued our work to combat hepatitis B and C in China and India, to fight cancer in Central and Eastern Europe, and to help returning veterans and their families in the United States.

Through the Bristol-Myers Squibb Patient Assistance Foun-dation, we continued to provide free medications to qualifying U.S. patients with financial hardship and no insurance coverage. The company also provided pharmaceutical donations for dis-aster relief, for example, following the earthquakes in Haiti and Nepal, and to support health systems in developing countries.

FOR OUR EMPLOYEES, we continued to strengthen our culture of inclusion and build a diverse workforce. Both are vital for innovation and for successfully executing our business strategy. As part of that effort, a Global Diversity and Inclusion Council, chaired by me, was established. We also made cutting-edge

investments in accelerated leadership development, man-ager capability and People & Business Resource Groups, all with the goal of empowering our people to pursue innovative ideas and grow in an inclusive and energizing environment. In addition, we promoted global ‘Make Every Month Safe’ year-long campaigns and placed emphasis on wellness and work/life balance.

As a result, we received recognition as an employer of choice by Working Mother and the National Gay & Lesbian Chamber of Commerce, among others.

FOR OUR COMMUNITIES, we continued to help underserved populations across therapeutic areas around the globe and to benefit the places in which we live and work. Bristol-Myers Squibb continued its participation in the United Nations Global Compact, which addresses human rights, labor, environment and anticorruption. We endorsed the Guiding Principles on Access to Healthcare and issued a new Human Rights Policy for our global operations.

To help preserve the environment we reduced product packaging by over 5%, our energy consumption by over 13%, greenhouse gas emissions by 19% and water consumption by over 9%. Employees participated globally in annual Go Green Earth Day celebrations at more than 50 sites. We funded installation of 400 water filters in Tanzania, providing clean water to about 100,000 people.

Our strong principles and practices contributed to Bristol- Myers Squibb ranking first on Corporate Responsibility mag-azine’s 2012 and 2014 lists of “100 Best Corporate Citizens.” Our company was also included in the Dow Jones North America Index of Leading Sustainable Companies and re-ceived a U.S. Environmental Protection Agency Energy Star Partner of the Year Award in 2015, among other recognitions.

AS BRISTOL-MYERS SQUIBB MOVES FORWARD IN ITS

EXCITING NEW CHAPTER, I AM CONFIDENT THAT OUR

NEXT SET OF COMPREHENSIVE AND GLOBAL GOALS –

THE SUSTAINABILITY 2020 GOALS – WILL FURTHER

STRENGTHEN OUR ABILITY TO DELIVER ON OUR MISSION

AND FULFILL OUR COMMITMENT. THIS IS IMPORTANT.

OUR PATIENTS, EMPLOYEES AND COMMUNITIES

DESERVE NOTHING LESS.

GIOVANNI CAFORIO CEO, Bristol-Myers Squibb

Chief Executive Officer

Message from the

3

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S U S TA I N A B I L I T Y 2 0 1 5 G O A L S F I N A L R E P O R T

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GREEN CHEMISTRY SCORECARDWhen making sophisticated medicines, one of the challenges is to utilize the safest chemicals and minimize solvent use. We refined a Process Greenness Scorecard, measuring 14 process parameters for small molecule products, and developed a draft scorecard for biologic proc‑ esses. These scorecards allow our scientists to make the best decisions in developing environ‑mentally benign and sustainable processes.

>90% of the small molecules currently in development have been through the Process Greenness Scorecard. “We can see tenfold im‑provements with a new process and that’s just for the version used in development,” says Dave Leahy, Principal Scientist; “The big payoff is once it’s in commercial production. Every kilo of chemicals saved in development could save a metric ton per year in commercial production.

ADOPTION OF SUSTAINABLE GUIDE-LINE AS SOP HELPED EXCEED GOALThe Global Packaging Development team created and instituted the SUSTAINABLE PACKAGING DESIGN GUIDELINE as a standard operating procedure, helping Bristol‑Myers Squibb exceed its 5% packaging reduction goal.

GREEN CHEMISTRY

Established GREEN CHEMISTRY symposium and annual award; published manuscripts; funded

American Chemical Society Green Chemistry research grants

Collaborated on base metal catalysis in organic synthesis to REPLACE

PRECIOUS METALS (palladium) WITH

SUSTAINABLE METALS (cobalt, iron)

TO REDUCE ENVIRONMENTAL IMPACTS, made significant investments in green

technologies: catalysis, biocatalysis, continuous processing and novel

purification approaches

DEVELOPED AND REFINED PROCESS

GREENNESS SCORECARDS [full story below]

WASTE REDUCTION

HCV product: improved manufacturing saves 2,000 metric

tons waste/year1

HIV/AIDS product in development: used renewable starting material,

reducing waste by 60%

HIV/AIDS product: new manufacturing route saves 22,000 metric tons

waste/year1

PACKAGING

EXCEEDED GOAL to reduce packaging 5% (1,100 tons) due to strategic business decisions; and Abilify

packaging redesigns which saved:

• 340 tons of packaging material/year

• $3,500,000/year

[full story below]

THREE LOGISTICS INITIATIVES changing the mode of product

shipment from air to ocean:

• Reduced CO2 emissions 95% • Lowered annual transportation costs by $7,000,000

Enhance the environmental and safe handling aspects of our medicines throughout their life cycle

IN 2012, we joined with 12 of the top pharmaceutical companies in the world to draft a common set of principles to guide efforts to expand access to medicines for middle and low‑income coun‑

tries around the world.

Guiding Principles

Under these five Guiding Principles,

specifics are spelled out, such

as our commitments to the transparency of

clinical trials, the importance of building local research and development capacity and ap‑propriate pricing strategies that recognize the value of innovation while addressing barriers to access.

INCREASED ACCESS TO OUR MEDICINES Since 2013, we have been working with the Medicines Patent Pool, a United Nations‑backed public health organization, to increase access to our medicines in low‑and middle‑income countries.

The first medicine we licensed to the MPP was atazanavir, in 2013, by granting a voluntary license and providing technology transfer to sublicense the production and distribution of atazanavir in 110 countries – with populations representing more than 88 percent of people living with HIV/AIDS in the developing world. In 2015, we entered into a first‑ever MPP licensing agreement for a HCV medicine, daclatasvir, which would make the medicine available in 112 countries, royalty‑free through sublicensed generic manufacturers.

The benefits of both arrangements have been, and will continue to be, dramatic:

SUPPLIED MEDICINES TO

IMPROVE HEALTH

IMPROVED TRANSPARENCY with launch of Access to Medicines web

page on bms.com; issued Global Position Statements on Access to Medicines and Pricing; increased

awareness of our early patient access to investigational medicines

HELPED DEVELOP AND ENDORSED the Business for Social Responsibility

Guiding Principles on Access to Healthcare [full story below]

COLLABORATED WITH THE

MEDICINES PATENT POOL (MPP) to facilitate access to medicines in the

developing world [full story below]

PROVIDED GRANTS AND GIVING (2011 – 2015):

Patient Assistance Foundation:

~$3,360 million1 (U.S. only)

Patients served: 730,000+Corporate giving (worldwide2):

$407.3 million

Independent Medical Education: $179.6 million (worldwide)

BRISTOL-MYERS SQUIBB FOUNDATION

Worldwide donations totaling $150.5 million (2011–2015)

Programs supported:

cancer, type 2 diabetes, HIV/AIDS, hepatitis

B and C, and mental health for U.S. veterans

Address focused unmet medical needs to improve health

55 mature products

100+ countries

10 key innovative medicines

57 countries

1 value at wholesale list price.

2 Including cash, product and other assets. Excludes contributions by Bristol-Myers Squibb Foundation and Patient Assistance Foundation.

1 projected savings

Availability

Health Systems

Resources

Respecting Human Rights

Collaboration

Research & Develop-

ment

air

to

ocean

A C C O M P L I S H M E N T S T O O U R P AT I E N T S A N D C U S T O M E R S

SUSTAINABILITY-FOCUSED PACKAGING REDESIGNS Simplifying the Abilify (aripiprazole) insert to a one‑piece design was the most successful of the three Abilify sustainability packaging projects. This insert redesign resulted in the following environmental improvements with annual cost savings of more than $2,000,000:

• 70 tons less paper used per year

• thinner insert = smaller shipping case – fitting 30% more product on the same pallet – leading to a 30% reduction of ocean containers

shipping finished product from manufacturing (Humacao, Puerto Rico) to distribution centers (U.S.)

• inserts now sourced in Puerto Rico, reducing energy previously required for shipping

Atazanavir use increased nine-fold in the licensed territory

BEYOND THE QUICK‑START DONATION OF DAKLINZA™ MADE BY BRISTOL‑MYERS

SQUIBB TO KICK‑START THE PROGRAM, SUSTAINABILITY IS ENABLED BY THE LICENSING AND TECHNOLOGY TRANSFER AGREEMENT FOR DACLATASVIR WITH THE MPP.

10,000 Patients in 6 developing countries will be treated with

Daklinza™ and sofosbuvir THROUGH A QUICK‑START PROGRAM LED BY THE CLINTON HEALTH INITIATIVE, DUKE UNIVERSITY AND AMERICARES.

NEW

PREVIOUS

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IN 2013, WE CREATED A GLOBAL DIVERSITY AND INCLUSION COUNCIL (GDIC), responsible for focusing recruitment, develop‑ing the company’s culture and driving business performance. “The GDIC is chaired by our CEO, and includes representatives from each of the company’s leadership teams and diversity councils – a strong statement of our commitment,” says David Gonzales, Head, Global Diversity and Inclusion. The council has been focusing on accelerating leadership development of under‑represented ethnic groups and women, interrupting gender bias, engaging men as allies in promoting gender equity, and creating a culture of inclusion and agility to drive global innovation and superior business results. Strengthening the company’s culture of inclusion by making sure employees are well versed in appropriate behaviors is also a priority. In 2015, nearly

100% of employees in the company took bias‑related awareness and education training.

PEOPLE AND BUSINESS RESOURCE GROUPS ENGAGE EMPLOYEES AND REPRESENT THE DIVERSE perspectives of our workforce. Currently, there are seven resource groups – open to all employees worldwide that focus on activities to foster understanding and inclusion in the Bristol‑Myers Squibb workplace. The groups provide opportunities for employees to network and continue their professional growth and development. Our People and Business Resource groups have become more tightly tied to our business purpose with three‑year business plans and new reporting responsibility to the Global Diversity and Inclusion Council. In addition, the company has taken the groundbreaking step of hiring full‑time leaders for two of the groups, BOLD (Black Organization for Leadership and Development) and B-NOW (Bristol‑Myers Squibb Network of Women) from within the company. With dedicated leadership, the company is committed to enhancing engagement with these groups.

Bristol‑Myers Squibb HAS LONG BEEN RECOGNIZED AS A GREAT PLACE TO WORK. As the company has evolved, our recognition by external groups broadened as well.

The good news is we’ve been able to sustain the awards that we’ve had histori-cally but then go into new spaces that tie to engagement,” says Monica McKee, Vice Pres ident, Human Resources. THE GREAT PLACE TO WORK® INSTITUTE recently recognized Bristol‑Myers Squibb locations in Austria, Brazil, Mexico, Poland and

Switzerland.

RECOGNIZED EMPLOYER OF CHOICE

a complete listing can be found on the

inside back cover of this brochure

DEVELOPED AND IMPLEMENTED

OUR PEOPLE STRATEGY to cultivate great managers and leaders,

enhance global diversity and inclusion, foster rewarding careers,

build our talent, and create an energizing work experience

INVESTED IN CREATING AN

ENERGIZING WORKPLACE by expanding use of Open Office Space/

Virtual Working/Flexible Working Arrangements

ESTABLISHED HEALTH & WELLNESS

PROGRAMS: Know your numbers (U.S. only); fitness centers and walking tracks at some locations (global)

ESTABLISHED DIVERSITY AND

INCLUSION COUNCIL chaired by CEO

Achieve a high performing workforce as a recognized employer of choice

PRIDE IN OUR COMPANY In 2015, employees gave Bristol‑Myers Squibb some of

the most favorable ratings it had ever received on the annual all‑employee survey. Results improved by more than 10% on pride in Bristol‑Myers Squibb and as a great place to work, and exceeded external Mayflower benchmarks on overall employee engagement.

E M P L O Y E E SA C C O M P L I S H M E N T S T O O U R

SAFETY DIRECTIVESWe continuously evolved our environment, health and safety (EHS) directives to ensure that our organization is addressing needs as they come up, keeping our employees safe in the workplace and informed across a broad range of subjects from personnel safety and loss prevention, to environmental protection.

We’ve continued to sharpen the requirements to assure that our directives not only align with regulations, codes and standards, but they frequently exceed them,” says William Fleming, Director and Head of Safety.

THINK SMART, WORK SAFE The Make Every Month Safe campaign, launched in 2011,

helped to build a culture of safety and wellness at work and at home. This has further developed into a THINK SMART,

WORK SAFE campaign, with themes of Learn, Share and Act. The program empowers Bristol‑Myers Squibb employees to share engagement in personal safety accountability and contribute to our ever‑improving safety culture.

‘CULTURE OF SAFETY’ PROMOTEDWe’ve discovered, one of the best ways to get the message out about safety is to encourage employees to use their creative skills to develop engaging ways to make a point. An EHS video contest begun in 2012, produced such viral hits as “Phone Zombies” portraying an employee walking around causing havoc because he was preoccupied by his phone.

The company also encouraged further focus on safety with a video featuring former‑CEO Lamberto Andreotti discussing safety, blogs by senior leaders, and a “What I Live For” campaign following the example of the U.S. National Safety Council.

ACHIEVED CONTINUOUS

IMPROVEMENT in recordable accident and illness case rate (‑24.7%)

and days away from work case rate (‑27.3%) through 2015

based on three-year rolling average

ACHIEVED PERFORMANCE

IN THE TOP 25% for recordable case rate among similar companies

based on most recently available

industry data (2014) from

U.S. Bureau of Labor Statistics

Promoted continuous global ‘MAKE EVERY MONTH SAFE’

campaigns with quarterly focus topics

[full story below]

Established companywide electronic INCIDENT MANAGEMENT

& REPORTING SYSTEM

IMPLEMENTED SAFETY TRAINING

OBSERVATION PROGRAM for supervisors in

Global Manufacturing & Supply Division

Emphasized ‘CULTURE OF SAFETY’ in CEO video messaging, senior

management communications and employee multimedia safety contests

[full story below]

Provide a safe and healthy work environment

84% responded positively to our employee engagement questions

95% believe in our company mission

Bristol-Myers Squibb Safety Initiative

CAN YOU WALK LIKE A PENGUIN?You can avoid possible injury from slipping on snow or ice by walking like a penguin. Let’s work to prevent slips, trips and falls!

TAKE ACTION, REPORT HAZARDS.

File created at 1/3 scale: output at 300% to achieve 39.375” x 85.375”. Uses ExpoLinc Banner hardware.

our goal:everyonereturnS home

Safeevery day

S a f e t y I n i t i a t i v e

Devens Safety Initiative Banners-Expol.indd 4 6/6/16 10:55 AM

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INCREASED COMMUNICATION AND

ENGAGEMENT through various

communications channels: events,

presentations, guest speakers, videos,

podcasts, social media, interactive

discussions, country-level corporate

responsibility reports, to name a few

ISSUED REPORTS:

Sustainability 2015 Goals Mid-Term Progress and biennial Foundation/

Corporate Social Responsibility

BRISTOL-MYERS SQUIBB

JOINED THE UNITED

NATIONS GLOBAL COMPACT

EMPLOYEE SURVEY RESULTS on

company progress in social and

environmental responsibility

IMPROVED BY OVER 3%

WITH A 71.3% FAVORABLE RATING

ORGANIZED COMMUNITY

HELPING HANDS–DAY OF CARING events with employee volunteers globally

INCREASED EMPLOYEE INVOLVEMENT in site Wildlife Habitat conservation,

energy & water Treasure Hunts, site LEED certifications, Take Your Child to Work day, Finance Gives

pro-bono volunteer program

INITIATED R&D GREEN LABS

CERTIFICATION PROGRAM with

550+ company labs participating [full story below]

SPONSORED PARTICIPATION OF

YOUNG COMPANY LEADERS in

One Young World forums

FUNDED CREATION OF GREEN

SCHOOLS FELLOWSHIP to help New Jersey school districts create healthier, more sustainable learning environments

COMPLETED A MATERIALITY

ASSESSMENT with broad cross functional participation

GO GREEN NETWORK ACTIVITIES

included reducing energy, water and

waste in the workplace, actions on

styrofoam reduction in cafeterias,

composting pilots, reusable cups/mugs

HELD ANNUAL GLOBAL EARTH DAY

CELEBRATIONS at 50+ locations [full story below]

GREEN LABSWe endeavor to ensure that all of our labora‑tories are adopting green practices. To support this initiative, a survey and ratings system was developed to assess how green our labs are, along with ways to improve performance.

The program is intended to recognize and educate our scientists on sustain-able lab practices,” says John Murray, Lawrenceville Facilities Site Director.

The survey, which raises awareness of opportu‑nities in reducing energy and water use, is now in its fifth iteration and more than half of our labs have taken it at least once. Results are rated from Aspiring to Platinum; currently there are 116 Aspiring, 273 Certified, 166 Gold, and 37 Platinum labs. Labs that reach Platinum are awarded an appreciation letter and decal from the company’s Chief Scientific Officer.

GO GREEN/EARTH DAYEmployees across the company are regularly presented with ideas and opportunities to go green at work and at home. Events include annual Earth Day celebrations globally with participation across more than 50 sites, featuring community clean‑ups, fairs, tree planting, seed giveaways, lighting fairs and presentations. Events have included information on topics such as green cars, composting, planting trees and ways to reduce energy use at home. Also, the company has encouraged observance of Earth Hour, an event that involves turning off all unnecessary electrical appliances between 8:30 and 9:30pm on the last Saturday of March, to help raise awareness.

In October, Energy Awareness Month is celebrated at some locations with lighting and energy fairs where employees can purchase energy efficient light bulbs at reduced prices, or learn about home energy audits. Lighting fair results are just one example of the impressive impact the events are having.

Educate and engage our organization to actively drive progress in environmental and social responsibility

““

G L O B A L C O M M U N I T I E S

PRAM: ROBUST SUPPLIER RISK PROCESSWe have been increasing efforts to mitigate risk in our suppliers by collecting information on subjects ranging from their ability to pro ‑ vide goods or services in the future, to EHS, labor and ethics practices – under a program called Procurement Risk Assessment and Mitigation (PRAM). In addition, we surveyed suppliers from 2013‑2015 regarding their car‑ bon footprint, receiving a high response rate.

It makes us more comfortable with a supplier knowing that they have a robust process to address any issues,” says Nauman Khan, Director, Global Procurement Operations. “Typically, we will work with a key supplier to improve their practices if nec-essary. This is not just something nice to have, it needs to be a stra-tegic imperative going forward.”

THE PHARMACEUTICAL SUPPLY CHAIN INITIATIVE (PSCI) is an organization we have played a leading role in since 2005. The focus of this initiative is to develop a consensus set of expectations for suppliers working with the pharmaceutical industry.

Bristol‑Myers Squibb was a founding member, and on the original board of directors; 21 major pharmaceutical companies are involved today. Informational PSCI conferences held around the world (China in 2014; India in 2015) have been supported by Bristol‑Myers Squibb, and were well‑attended. New areas of focus for the group have been pharmaceuticals and the

environment, labor and ethics.

Reaching out to suppliers and providing guidance is definitely worthwhile. According to Dave Lapinski, EHS Director, Third Party Audit, “I have been to many suppliers multiple times and it’s amazing to see the improvement.

Increase key supplier sustainability aligned with our Commitment

A C C O M P L I S H M E N T S T O O U R

COMPLETED CDP (Carbon Disclosure Project) SURVEY with 50+

suppliers representing more than $1.4 billion in company spending

Achieved position as CDP S&P 500 CLIMATE DISCLOSURE LEADER

PARTICIPATED AS BOARD MEMBER OF: PHARMACEUTICAL SUPPLY CHAIN

INITIATIVE and in JOINT AUDIT AND

SUPPLIER CAPABILITY PROGRAMS which streamlined audit requirements

for industry suppliers

Started AUDIT PROCESS FOR LABOR &

INTEGRITY at third party manufacturers

Increased efforts to mitigate risk in critical suppliers through “PRAM”

[full story below]

Introduced THIRD PARTY STANDARDS

OF BUSINESS CONDUCT AND ETHICS language for supplier contracts

LOXXESS, the preferred logistic provider for Bristol-Myers Squibb in Germany,

made various improvements to reduce energy and material consumption for cold chain transportation and

bubble wrap. They also installed solar panels on their roof covering 50%

of their energy demand

COLLABORATED WITH R&D SUPPLIERS

ON SUSTAINABILITY INITIATIVES to reduce packaging/shipping materials

using totes and reusable pallets

”In 2015,

employee fairs in the U.S. resulted in:

4,220+

energy efficient light bulbs purchased

537,000pounds of CO2

emissions reduced

$687,000net cost savings

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At Bristol-Myers Squibb, sustainability means conducting our business to help patients

prevail over serious diseases in a manner that contributes to economic growth, social responsi-bility and a healthy environment now and in the future. I am pleased to share our Sustainability 2015 Goals Report, where many examples of this commitment are found. As you’ve seen, we drove

significant progress on issues of importance to our company and our stake-holders over the past five years. We met or exceeded all of our goals – with the

exception that our progress against the absolute energy and water goals, although substantial, was surpassed by our business growth.

Pursuit of our goals has driven integration of sustainability further into the business policies and practices that underpin our commitment to meeting the needs of our patients, employees, communities and the environment globally. We are proud that our efforts have been recognized by numerous organizations. We could not have achieved this success without the engagement of our employees and leadership of the cross functional goal teams. We look forward to the future with renewed energy as we begin work on our next set of sustainability goals.”

CAROL POWELL Global Head and Vice President,

Environmental, Health, Safety & Sustainability

We could not have achieved this success without the

engagement of our employees and leadership of the cross

functional goal teams.

ENERGY STAR PARTNER OF THE YEARIn 2015 and 2016, we received the ENERGY STAR Partner of the Year Award for Corporate Energy Management from the U.S. Environ‑mental Protection Agency.

This award recognizes our commitment to environmental protection through superior energy management programs, in support of our 2015 energy goals. This included utilizing ENERGY STAR tools and resources in the areas of practices, communications and sustained savings. One of the tools put into action was the Treasure Hunt program, described at right.

GREEN BUILDING DESIGNLeadership in Energy & Environmental Design (LEED) certifications were achieved at our Devens manufacturing facility and ZymoGenetics, a Bristol‑Myers Squibb company research facility.Insights gained from designing facilities for

LEED certification have been incorporated into our facility design guidelines, ensuring that ongoing growth takes place with energy and water savings, waste reduction and employee well‑being in mind.

ENERGY AND WATER SAVINGS DISCOVEREDIn 2015, bands of employees dressed as pirates participated in treasure hunts at Bristol‑Myers Squibb facilities around the world, searching to discover energy and water savings to move us towards our goals. The Treasure Hunts – which are the invention of the U.S. EPA’s ENERGY STAR Program – yielded significant results. To date, more than 200 employees have participated in

events at Shanghai, Manati, Humacao, New Brunswick, and Syracuse. Energy saving opportunities of more than 15% (average) with cost savings potential over $7.5 million have been identified.

IN SHANGHAI, EMPLOYEES IDENTIFIED 56 SAVINGS OPPORTUNITIES,

AMOUNTING TO 19% OF THE SITE’S ANNUAL ENERGY CONSUMPTION,

19% OF ITS ANNUAL WATER CONSUMPTION AND OVER $900,000 IN

POTENTIAL COST SAVINGS.

REDUCED ENERGY USE by 13.1% and GREENHOUSE GAS EMISSIONS

by 19% in spite of significant business growth, while striving

to achieve goal of 15% absolute reduction for each

Implemented over 275 energy and 35 water projects since 2010;

focused on chiller plant, steam and HVAC system optimization.

ANNUAL AVERAGE SAVINGS OF $14.5 million

Recognized by U.S. EPA as ENERGY STAR Partner of the Year

[full story below]

REDUCED TOTAL WATER USE by 9.2% in spite of significant

business growth, versus goal of 10% absolute reduction

ACHIEVED LEED CERTIFICATIONS at two Bristol-Myers Squibb facilities

[full story below]

Installed a 4MW cogeneration project SAVING 7,300 TONS/YEAR

OF CO2

Completed five ENERGY STAR® TREASURE HUNTS globally

[full story below]

INSTALLED A 750KW SOLAR

PHOTOVOLTAIC project at Hopewell, NJ – enough to

power 80 homes

Bristol-Myers Squibb Germany planted 55,000 trees to offset the CO2 emissions of the sales fleet

(about 500 cars)

FUNDED INSTALLATION of 400 Hydraid® BioSand Water Filters in

Tanzania through Global Sustainable Partnerships, providing clean water

to about 100,000 people in 18 rural villages

Improve the environmental footprint of our company

E N V I R O N M E N TA C C O M P L I S H M E N T S T O O U R

For further information please visit our web site at bms.com/sustainability

2016

Corporate Responsibility Magazine: 100 Best Corporate Citizens Among Top 10 – 8th CY*

Glassdoor Employees’ Choice Awards Among Top 50 – 2nd CY

Energy Star Partner of the Year 2nd CY

Newsweek Among Top 500 publicly‑traded companies on overall environmental performance. Ranked No. 67 nationally, and No. 119 among global companies

National Gay & Lesbian Chamber of Commerce Best‑of‑the‑Best Among Top 30 (2016, inaugural year of U.S. companies)

Great Place to Work® Institute Several Bristol‑Myers Squibb locations were recognized, including Austria, Brazil, Mexico, Poland and Switzerland 2nd CY

AON Best Employer in Puerto Rico 3rd CY

Human Rights Campaign Foundation Perfect Score – 100 percent 11th CY

Executive Women (NAFE) Among Top 50 – 13th CY

FORTUNE Magazine Ranked No. 4 among World’s Most Admired Company’s in pharma‑ceutical industry – 2nd CY; and Top 3 of pharmaceu‑tical companies for innovation, people management, quality of products/services and use of corporate assets – 2nd CY

Among Top 8 Pharma Companies to Work For as surveyed by Biospace (a leading online industry source for news and careers)

Fast Company Among Top 10 of World’s Most Innovative Companies; and Top 10 Most Innovative Companies in Biotech

Business Insider Best Health Care Companies to Work For in the U.S. Ranked No. 2 Among Top 50

Minority Business News Most Admired Company in Supplier Diversity

LEED Certification Devens, MA (2016) and ZymoGenetics (2014)

2015

Science Careers Among Top 20 R&D Employers

Working Mother Among 100 Best Companies 18th CY

Member of the DJSI North America Index

MIT Technology Review Among Top 50 Smartest Companies

CDP Climate Disclosure Leader 3rd CY

Oekom Research Rated Prime Company in Corporate Responsibility 15th CY

* CY – consecutive year.

GREAT PLACE

TO WORK

Bristol-Myers Squibb selected recognition

80

S U S TA I N A B I L I T Y 2 0 1 5 G O A L S F I N A L R E P O R T S U S TA I N A B I L I T Y 2 0 1 5 G O A L S F I N A L R E P O R T

The LEED® certification trademark is owned by the U.S. Green Building Council and is used with permission.

Page 7: Sustainability 2015 Goals Final Report...25 percent of pharmaceutical industry performance, with rates improving Achieve a high performing workforce as a recognized employer of choice

This brochure contains highlights from Bristol‑Myers Squibb’s online sustainability report. For complete and up‑to‑date information, visit bms.com/sustainability.

This 2015 Sustainability Report contains certain forward‑looking information within the meaning of the Private Securities Litigation Reform Act of 1995. These forward‑looking statements involve substantial risks and uncertainties that could cause actual results to differ materially from the expectations or estimates reflected in the forward‑looking statements.

The Company undertakes no obligation to publicly update any forward‑looking statement, whether as a result of new information, future events or otherwise.

Global products and company program names appearing in italics are trademarks of Bristol‑Myers Squibb.

Copyright @ 2016. All rights reserved. 08/2016 This report is printed on 100% post-consumer recycled paper.

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